Many people wonder what exactly it means when someone says that they want to “grow their business”.
It involves a mix of growing both the bottom line (increasing profits) and the top line (increasing sales).
Keep in mind that in some cases while you might try to grow your sales as a new business that in certain cases that can cause you to lose profitability in the future. That will make your company less desirable for potential investors and business partners in the future.
However, if you are convinced that growing your business at the fastest possible rate is the right move for you then cutting into profits a little bit to grow faster might be something you are entirely willing to do.
Considering this, the following are 13 tips that you will be able to consider when trying to grow your small business:
- It’s up to you as a business owner to determine how your team is performing. If you are not satisfied with the performance consider bringing in some new people or even working on a commission-based or commission-only pay system.
- Categorize tasks so you can conveniently delegate responsibilities to others.
- Talk to vendors and see if you are getting rock bottom prices. If you’re not satisfied with the prices you are getting then talk to other competing vendors to see if they can provide lower prices.
- Work to bring your accounts receivable ratios up.
- Determine if routine tasks are being completed in the most effective way possible. If not, coming up with better systems for doing things more quickly (yet accurately) will help you free up employees to focus on other tasks and increase profitability.
- Go on the internet to see if there are sites you can get listed on that your business is currently not listed on. The more places your name is out there the better chance that people will find your name and do business with you.
- Set up a program to reward existing customers for referring you to others and bringing you fresh business to your company.
- Set up a customer loyalty program.
- Approach competition and businesses to see if they have any interest in selling off parts or all of their business. Acquiring other businesses (if you have the capital to do so) can help you grow your own business.
- Send out surveys to loyal customers to see what services or goods they need. Make it part of your business plan to expand to offer those goods and services if you don’t already.
- Check to see if any suppliers are looking for a buyout deal and consider it (if you have the capital to do so).
- Ask local town and county authorities what areas are slated to expand in your area in the next few years. Determine if you should be setting up operations in that area if you haven’t already. It provides excellent business growth opportunities for your company.
- Check out neighborhoods that are up-and-coming or aging and see if those might be neighborhoods to expand into. As populations turn over business opportunities can become many.
These are just a few of the ways that you can help your small-to-medium business grow and acquire new customers. Keep in mind that a lot of these tactics require extra planning and preparation in order to take reasonable, calculated risks with your capital that you are investing. However, if these moves work off, they can help your small-to-medium-sized business grow and flourish.
For assistance in any moves that can benefit your small-to-medium sized business please feel free to contact Flex Capital for more information.